Start-up online accommodation specialist Youtravel.com has reported that it is on track to achieve its one-year turnover of £40 million.
The Barclays Venture-backed company, which has now been in operation for six months, said it plans to grow turnover to £120 million in three years.
CEO John Kent said: “Youtravel.com is an already mature business – it is more like a business of three years old rather than six months in terms of trade relationships, our customer service record and breadth of product range.”
Sales and marketing director Paul Riches said 2,500 agents were now selling Youtravel.com product and 95% of its business comes through the trade.
He dismissed critics who said the company was late to enter the dynamic packaging market.
“Some people said we had missed the boat, but when the big four become two, we will start to see the real unpackaging of the package market,” he said.
“The majors will start to take a totally flexible approach but it will take them 18 months to get their act together.”
Riches said Sharm el Sheikh has emerged as Youtravel’s top selling destination, followed by Tenerife and Majorca.
He said customers were booking later and later, with 60% of bookings now for travel in the next six to seven weeks and only 10% for the peak August period.
“That doesn’t worry us. It’s the way the market is going,” he said.
By Bev Fearis
